U.S. soybean supply and use projections for 2019/20 are mostly unchanged this month. With soybean crush and exports projected at 2.1 billion bushels and 1.8 billion bushels, respectively, ending stocks remain at 425 million bushels, down 484 million from last year’s record. Soybean and soybean oil prices are reduced this month.
The U.S. season-average soybean price is projected at $8.70 per bushel, down 5 cents. The soybean oil price is projected at 31.5 cents per pound, down 2 cents. Soybean meal prices are unchanged at $305.00 per ton.
This month’s 2019/20 global oilseed outlook includes higher production and stocks relative to last month. Global soybean production is raised 2.4 million tons to 341.8 million, mainly on a 1-million-ton increase for both Argentina (to 54 million) and Brazil (to 126 million).
Argentina’s larger crop is due to overall favorable conditions in higher-yielding central and northwestern farming areas. Soybean crush is lowered 1 million tons for Argentina on the current pace to date. With higher South American production and lower use, global soybean stocks are increased 3.6 million tons to 102.4 million.
Another notable oilseed change includes a 1-million-ton reduction for palm oil production, mainly in Malaysia and Colombia, leading to a 19 percent year-over-year decline in global vegetable oil stocks.